Maximizing SME Performance through Strategic Management Accounting in a Competitive Environment (Case Study in SME Indonesia)
Krisdiyawati *
Department of Accounting, Politeknik Harapan Bersama, Tegal, Indonesia.
Hikmatul Maulidah
Department of Accounting, Politeknik Harapan Bersama, Tegal, Indonesia.
*Author to whom correspondence should be addressed.
Abstract
The practice and application of strategic management accounting has entered various types of industries, be it manufacturing, trade or service industries. This study aims to determine the effect of competitive environment on SME performance through strategic management accounting practices as mediation. The sampling method used is the purposive sampling technique. Data collection used a survey method by distributing questionnaires using instruments that were delivered directly to SME owners in Tegal City, and obtained 70 respondents. The data analysis technique used was the Structural Equation Model (SEM) with the help of the PLS application. Hypothesis testing is found in the output path coefficients and it is concluded that the competitive environment, strategic management accounting has a positive effect on SME performance. Meanwhile, the competitive environment also has a positive effect on strategic management accounting. This shows that information generated from strategic management accounting is very much needed by organizations in a competitive environment to be able to support improving SME performance.
Keywords: Competitive environment, business strategic, strategic management, management accounting, SME performance